Singleton Company's perpetual inventory records included the following information:Date Number of units and unit costTotal costJanuary 1Beginning inventory290 units @ $11$3,190? March 4Purchase240 units @ $18$4,320? September 28Purchase530 units @ $13$6,890? ??????Number of units sold during the year: 790If Singleton uses the FIFO cost flow method, its cost of goods sold would be $10,780.
Answer the following statement true (T) or false (F)
False
The first-in, first-out (FIFO) cost flow method requires that the cost of the items purchased first be assigned to cost of goods sold.
Cost of goods sold = (290 units × $11 per unit) + (240 × $18 per unit) + (260 × $13 per unit) = $10,890
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